This section applies if the distribution accounts of an open-ended investment company show the total amount available for distribution to owners of shares in the company as available for distribution as dividends.

Subsection (1) is subject to subsection (5).

For income tax purposes dividends are treated as paid to the owners of the shares by the company.

The amount of the dividends treated as paid to each owner is so much of the total amount mentioned in subsection (1) as is proportionate to the owner's shares.

This section does not apply if the open-ended investment company is an approved personal pension scheme.

See section 388 for the interpretation of this section and section 387.